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Economic and Nutritional Implications from Changes in U.S. Agricultural Promotion Efforts

Published online by Cambridge University Press:  12 June 2017

Shuay-Tsyr Ho
Affiliation:
Charles H. Dyson School of Applied Economics and Management, Cornell University, Ithaca, New York
Bradley J. Rickard
Affiliation:
Charles H. Dyson School of Applied Economics and Management, Cornell University, Ithaca, New York
Jura Liaukonyte
Affiliation:
Charles H. Dyson School of Applied Economics and Management, Cornell University, Ithaca, New York

Abstract

Promotion programs that subsidize advertising for exported agricultural products continue to be used despite much criticism that they are an inefficient use of taxpayer money. At the same time, others have advocated for an increase in funds to support domestic advertising for fruits and vegetables. We investigate the economic and nutritional effects from changes in both export and domestic promotion expenditures for horticultural and nonhorticultural commodities. Simulation results show that even modest decreases in trade promotion expenditures coupled with a corresponding increase in domestic promotion efforts have the capacity to influence domestic market conditions, caloric intake, and nutrient consumption.

Type
Research Article
Copyright
Copyright © Southern Agricultural Economics Association 2014

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